FURTHER evidence of pharmaceutical interest in the European cannabis space has emerged with German business Dermapharm Holding acquiring Canopy Growth subsidiary C³ Group.
C³ specialises in the development, production and marketing of natural and synthetic cannabinoids and was purchased by Canopy in 2019 for €235m.
Canopy has now sold the asset, which includes Spectrum Therapeutics, for €80m plus another €42.6m based on performances
In a press release Dr Hans-Georg Feldmeier, CEO of Dermapharm Holding, said: “With the acquisition of the C³ Group, we are once again securing access to the growth market for cannabis and at the same time opening up further distribution channels in Europe.
“In the course of the expected legalisation, we assume increasing acceptance and additional momentum for future business development. “
The 20-year-old C³ Group is a domestic market leader in the production of the synthetic THC Dronabinol.
The transaction sees Dermapharm enter the cannabis space as adult-use legalisation is imminent in Germany and is indicative of the pharmaceutical pathway being pursued in European cannabis, as reported earlier by BusinessCann
The Prohibition Partners’ Pharmaceutical Cannabis Report: 2nd Edition – released earlier this year – highlighted the opportunities, saying: “The potential for the use of medical cannabinoids in the pharmaceutical space has barely been scratched.”
Founded in 1991 Dermapharm is a rapidly growing manufacturer of branded pharmaceuticals. Based in Grünwald near Munich it reported sales of €577.2m in the nine months to September 30.
Canopy has been selling off non-core assets, including overseas subsidiaries, since David Klein became CEO in early 2020.